Which one has more value, ACCA or CIMA?

by Vedant Dwivedi Finance Manager

Excellent question, given the plethora of options for those who are planning on getting into or growing their accounting careers and who seek a chartered qualification to further their prospects in both cases. Regular accounting degrees remain important and add great value, but they are not enough to stand out in the race for top accounting positions at the best firms. Some of the most popular options among certifications are Chartered Investment and Management Accountant – or the CIMA certification – and the Association of Chartered Certified Accountants, or ACCA. Let me try to make the choice a bit easier.

First, consider the common point(s):·

For either qualification, a candidate gets an exemption if (s)he holds an accounting degree i.e. the candidate is exempted from certain modules under ACCA and CIMA.·
Either certification is a quicker route to a great first job or a better current job.·
Making a choice among taking up ACCA or choosing a CIMA career also depends upon the target employer(s) and the certification preferred there.·
Both certifications include recurring overheads in the form of annual fees, recertification charges, or others. Consequently, though, both tend to bring about better salaries than would be possible with just a degree.

Now let us consider how the focus differs between the two. The ACCA chartered qualification testifies to the candidate possessing competencies in audit, financial reporting, and taxation. Such a candidate is skilled in looking at the historical view of the financial situation, and evaluates the same in terms of financial accounting by preparing the standard accounting reports. A strong hold of International Financial Reporting Standards (IFRS) is a must, given the technical nature of ACCA. A candidate who has qualified the ACCA examination has the potential to take on the role of a CFO in the future.

In the case of a CIMA career, a candidate studies risk management, management accounting, and financial strategy in the course of preparing for the CIMA certification exams. The person becomes skilled in operations such as founding a startup, running a business, or taking on the mantle of a CEO. The learning in the course of this certification prepares the person to study the financial data and situation of the firm in detail, and to plan and guide the operations for the way ahead. A management accountant with experience in financial control is well suited to this qualification, given its focus on operational knowledge.

ACCA or CIMA – both have their own value propositions. I hope the above discussions helps you choose what suits you better!